The Consolidated Financial Statements for the Third Quarter of 2017 include the consolidated income statements, the consolidated statements of comprehensive income, the consolidated statements of financial position and much more.

Third quarter of 2017

Sales

Animal Health posted a 1.4% (Fx & portfolio adj.) increase in sales in the third quarter of 2017, to €359 million, in a weak market environment overall. We achieved considerable gains in the North America region on a currency-adjusted basis, thanks partly to the Cydectin™ product portfolio acquired in January 2017. We also expanded business in Asia / Pacific on a currency-adjusted basis, while sales receded in Europe / Middle East / Africa.

Sales by product

Sales of our Advantage™ family of flea, tick and worm control products were down against the prior year, mainly as a result of higher competitive pressure in Europe.

We continued to post double-digit-percentage sales growth with our Seresto™ flea and tick collar due mainly to increased demand in the United States and in the Latin America and Europe / Middle East / Africa regions.

Business with our Drontal™ line of dewormers benefited particularly from higher prices and volumes in the North America and Asia / Pacific regions.

Sales of our antibiotic Baytril™ primarily declined in the United States. We also registered lower volumes in the Asia / Pacific region.

Earnings

EBITDA before special items of Animal Health declined by 9.0% to €81 million in the third quarter of 2017 (Q3 2016: €89 million). Negative product mix effects, higher selling expenses as a result of seasonal shifts, and a currency loss of around €5 million diminished earnings. The positive contributions from the Cydectin™ business we acquired were insufficient to offset these developments.

EBIT increased by 21.0% to €64 million. It included special charges of €8 million (Q3 2016: €1 million) in conjunction with efficiency enhancement measures.

First nine months of 2017

Sales

Sales of Animal Health rose by 2.1% (Fx & portfolio adj.) to €1,249 million in the first nine months. We achieved sales gains particularly in North America and Asia / Pacific, while business was level with the prior-year period in Europe / Middle East / Africa and Latin America on a currency-adjusted basis.

Earnings

EBITDA before special items increased by 6.8% to €332 million in the first nine months of 2017. This development was largely due to positive price effects and the recently acquired Cydectin™ business. These stood against negative volume effects, higher selling expenses and an increase in research and development expenditures. Negative currency effects diminished earnings by €5 million.

EBIT improved by 3.1% to €297 million after special charges of €8 million (9M 2016: €2 million).